Return of Financial Aid

Official Complete Withdrawal

Circumstances may necessitate complete withdrawal from the university for a semester in which you are already registered. The outcome of a complete withdrawal on your financial aid depends on when the withdrawal is initiated and the type of financial aid you received. However, in all cases, your financial aid must be recalculated. Also, complete withdrawal may negatively affect your Satisfactory Academic Progress.

  • If the semester has not yet begun, and you cancel your registration, your financial aid for the semester will also be cancelled. This may result in your receipt of a bill from ASU.
  • If you officially process a complete withdraw from the university after classes begin, but before Census, you will be required to return any non-Title IV aid you received for the semester. Student Financial Assistance (SFA) will also recalculate your Title IV aid based on the Federal Return of Title IV Formula.
  • If you officially process a complete withdraw from the university after census but before the 60% point of the semester (see Financial Aid Calendar for dates) has lapsed, you will not be required to return any non-Title IV aid you received for the semester. However, SFA will recalculate your Title IV aid based on the Federal Return of Title IV Formula.
  • If you officially process a complete withdraw from the university after the 60% point of the semester (see Financial Aid Calendar for dates), you will not be required to return any financial aid you received for the semester.

Military Withdrawal

If you must completely withdraw due to military activation, immediately contact Veterans Services. By doing so, you will receive some regulatory relief in the recalculation of your financial aid eligibility and the calculation of your tuition and fee charges.

Unofficial Complete Withdrawal (Dropping Out)

If you stop attending classes and do not initiate an official withdrawal, you will receive no passing grades for the semester and will incur significant financial penalties, including full or partial cancellation of the financial aid you received for the semester. Because of this, it is critical that you initiate an official withdrawal prior to the end of the semester and that you keep your mailing address current.

At the conclusion of each semester, the Student Financial Assistance will ascertain if you have passed any courses for the semester. If you have not, you are required to provide official documentation of attendance in an academically related activity. If documentation is not provided within the time frame specified, you will be required to repay all financial aid received for the semester on demand. If you document your attendance, you will be required to repay up to 50% of the Title IV aid received for the semester on demand.

Return of Title IV Formula

Federal Title IV aid is recalculated based on the number of days attended. The percentage of unearned aid to be returned is equal to the number of days remaining in the semester divided by the number of calendar days in the semester. If you initiate an official complete withdrawal after the 60% point in the semester (see table), you will have earned 100% of the aid you received for that semester. The date of withdrawal is counted as a completed day. Scheduled breaks of more than 4 consecutive days within a semester are excluded. Federal Work-Study is not considered.

If a return of Title IV aid is required, ASU will return the unearned portion of Title IV financial aid funds to the federal programs on behalf of the student. Any return of financial aid funds made by the university on behalf of the student will be charged to the student's university account. Payment for these charges are due on demand. Please pay ASU directly for these charges; not the U.S. Department of Education.

If you are one of the few students who are eligible for a post-withdrawal disbursement, you will be sent a letter of notification of your eligibility, which must be returned within 14 days from the date of the notice, or the offer will be rescinded.

Title IV Financial Aid will be returned in the following order*:

  1. Federal Stafford Loans
  2. Federal Perkins Loans
  3. Federal PLUS Loans
  4. Federal Pell Grants
  5. Federal Supplemental Educational Opportunity Grants
  6. LEAP Grants
  7. SMART Grants
  8. ACG

*Please Note: Federal Work-Study is Title IV aid but is not considered in the Return of Title IV Formula. However, in ALL complete withdrawal cases, you must discontinue employment under the Federal Work-Study Program after your date of withdrawal.